10 RESOURCES FOR MANAGEMENT
N. Rekha
1. Introduction
Resource management is the process by which businesses manage their various resources effectively. Availability of resources merely does not lead to success of a food industry, but it need to be skillfully utilized by using necessary management techniques to be fruitful. The manager should have throw knowledge of their existing competitors and should know the technique of grasping the new challenges. Thus, the most important resource for any establishment is its management skill and its maximum utility.
The resources can be intangible – people and time – and tangible – equipment, materials, and finances. It involves planning so that the right resources are assigned to the right tasks. Managing resources involves schedules and budgets for people, projects, equipment, and supplies.
Resources are factors accessible to a food service manager for the production process and service of food, and these are limited. Some resources get used up and finished with time, so they have to be continually generated to have a constant supply. The other resources get used up or depreciate in value and utility and should be maintained till it gets unfit for use and should be replaced. For the efficient functioning of catering institutions there are nine kinds of resources that should be managed properly.
Objectives
After going through this module, you will be able to
- Acquire throw knowledge on management of various resources.
- Know about the key elements of resource management
- Ensure the effective utilization of resources Plan and allocate resources for future use
1.2. Before looking into the key elements, three statements must be made defining some of the important terms involved with resource management.
- The Resources Themselves – Before one can manage a resource, one must know what a resource is. A resource may be a human resource (employee), a financial resource, a product to be sold or obtained, skills, technology, information, or elements for production.
- Having the Proper Data – The data required for effective resource management includes demand for resources, available resources, and how the resources will fit into the demands (what is required of the resources).
- Utilization/Allocation – Resources must be used to the maximum capacity for the minimum amount of cost. Tasks should be allocated (assigned or distributed) to resources in a fair and balanced manner.
1.3. The major elements of resource management are the following
- Resource Plan – Each project plan should have a resource plan as its component. The resource plan should contain all facet of your project from beginning to end that pertain to resources required.
- Resource Breakdown Structure – In this step, you will break down the resources required to complete the project according to the ranking – as you would in a work breakdown structure.
- Responsibility Assignment Matrix – Here the resource meets up with the work breakdown structure to assign responsibilities to the various sections in the hierarchy.
- Resource Over allocation – Over allocation of a resource is when a resource has been assigned more work than can be completed during normal work hours. Resource over allocation often leads to overtime and overspending on financial resources.
- Resource Histogram –This graphic representation can signal project managers whether there are any resources being over allocated.
- Resource Dependency – If two tasks require the same resource to complete them, then these tasks are resource dependent. If a task can only be completed by one resource, it is resource-dependent. A resource dependent task has particular constraints linking it to a particular resource.
Now, we will discuss about the efficient usage of various resources present in a food service industry.
2. Money
All types of organizations or industry are established with goal of profit making, to achieve this there has to be money to invest and spend in order to acquire the other resources needed for the production and service of food. Once the food is made available to the customers then money will start coming back into the organization. Therefore, it is important to know the various means of raising the money for the organization prior to the utilization of resources. The finance can be obtained through four ways, namely borrowing, partnership, hire purchase and savings.
2.1. Borrowing
A number of facilities have been provided by government and non-government (NGO’s) organizations to encourage small enterprise in each state. There are many schemes where capital can be raised at low interest and can be used by non-commercial institutions which are service oriented and serves for social causes like starting catering business for handicapped, woman, widows and other industries. It can also be borrowed through securities.
Borrowing sources can include nationalized banks and government finance companies who provide loan at low interest rates like
Nationalized Banks
Finance is provided for all entrepreneurs at concessional interest in State Bank of India, and other state level banks over the country, including both rural and urban areas. Additionally, they also impart regular training programs for entrepreneurs and common people.
Indian Council of Women Entrepreneurs
This is a national association which caters to the needs of women in very small household and medium sized enterprise.
The Small Scale Industries Development Bank of India – This bank lends finance to the small scale industries.
State Level Organizations – There are stat level organizations which enthusiastically take part in encouraging self-employment such as Association of Women Entrepreneurs of Karnataka, Gujarat state financial corporation and the Punjab Women and Children Corporation.
In some cases capital can be raised through money received on retirement.
2.2. Partnership
A type of business organization in which two or more individuals’ pool money, skills and other resources and share profit and loss in accordance with terms of the partnership agreement.
2.3. Hire Purchase
Hire purchase is a method of financing of the fixed asset to be purchased on future date. Under this method of financing, the purchase price is paid in installments. Ownership of the asset is transferred after the payment of the last installment.
2.4. Savings
In this mode of source the owner uses the savings at the start of business until the enterprise earns profit to pay back. It is important to ensure that an investment made in food service industry provides expected returns. The money raised at the start of business should be paid back at the earliest with minimum interest. This is possible only when the money is invested carefully in equipment, materials, space and other resources. There is a general criterion for making investment decisions for catering establishments.
- Space available within the building – There should be adequate space for the expected number of customers and the type of service to be offered in the short as well as the long run.
- Economy – Effective usage and control of money put in operating and maintenance cost is important in all areas and equipment installed. The cost over these aspects can be minimized by reducing hours of work required for operation by installing devices for day to day jobs.
- Flexibility – There should be flexibility in designing installations and space.
- Durability – Materials and equipment should be long lasting.
- Continuity – The effective use of areas, equipment and materials within the organization. If these resources are not used properly then it will lead to wastage.
- Safety – Safety is of prime importance when making investment decisions.
3. Space
This is the most expensive resource which should be thoughtfully used. In an existing building spaces can be renovated and arranged according to the work areas along with the equipment to achieve smooth work flow. The work environment should be conducive for working. The areas in a commercial area is more expensive when compared to outskirts of the city.
3.1. Certain points should be kept in mind regarding utilization of spaces
a. Type of food service, for example whether self-service or waiter service.
b. Target customers and customer turnover per day.
c. The type of menu whether choice based or set menu.
d. Timing of food service.
e. Number of staff and the specialized skill required.
f. Flexibility
g. Design and area of the space
4. Materials
In a food service organization the commonly used materials are food materials like fuel, table ware, linen and cleaning materials Food materials constitute perishables, like milk, fruits and vegetables, non-vegetarian foods etc, non-perishables like grains and pulses.
4.1. While purchasing food materials certain points should be considered for maximum usage
1.Buy seasonal foods which fresh and wholesome.
2.Percentage of edible portion should be considered while buying.
3. Importance for quality, variety and to the packaging till the end use for which it is purchased should be utilized.
4. Quantity purchased must be appropriate to the storage area and the types of storage facilities available. The turnover of the food materials should also be considered.
5.Purchase of the ingredients should be done after thoroughly relating to the menu. This is very important incase of purchase of perishable commodities.
In general, food materials are best utilized when loss is prevented during receiving, storage, preparation, cooking, service and clearing. This is indicated by excessive plate waste, insufficient food to meet the demand, excessive leftovers, a drop in demand and so on.
4.2. Linen and Table Ware
Linen includes kitchen cloths, dusters and table linen. The washing procedure requires sterilization for half an hour in detergent water, rinsing out the detergent and drying for reuse. These linen should e changed every day, the most efficient way to utilize them is to give two dusters and a kitchen cloth to every staff member working in the kitchen and in dining areas, so that they are responsible for them.
Use of table linen however, is fast being replaced by easy clean materials or disposables. Most cafeterias, coffee shops and even restaurants now use plastic coated tablemates, or disposables paper mats, to offset the high laundering costs of linen. In noncommercial institutions like school and colleges tray service is done which eliminates the need for any table mats or linen.
5. Staff
The service oriented food service institutions are totally dependent on the skills and motivations of their willingness to make the establishments succeed. No amount of mechanization can give that personal to lure customers to a food service.
Staff in a food service institution have various levels of literacy, and exhibit little to highly specialized skills according to the requirements of various activities involved in food production and service. Getting the work done by the people, and making their individual jobs and goals fit well into those of the establishments and according to the requirements of customers is a difficult but challenging one.
6. Time
All the different types of activity, whatever, its nature, is to be performed within a given period of time. In a catering industry where food has to be served at specific times, the pressures build up for staff in kitchens, service and clearing areas, from time to time. Often supervisors and managers have to work long hours to plan and schedule jobs to keep it ready in advance to have a smooth workflow.
An proper record helps to have attention on time periods which were used inadequately and during which useful activities could be performed. An analysis will show the amount of time which may have been spent on:
I.Waiting for ingredients, instructions, equipment, and maintenance or just looking out of the window between feeing the grating machine and putting the next lot into it.
II. Doing other peoples jobs because they are absent, or incapable of handling their work load, or simply because of a friendly gesture to a newcomer.
Time wasting areas have been pinpoint after a tough analysis of reach job, decisions regarding their future use can be made. For the manager these may involve.
a. A change in management style if too much control and unnecessary interference inn routine an activity has led to a disinterested work force who idles away productive tome deliberately.
b. Delegation of simple tasks giving greater attention to planning and organisation.
c.Periodic re-evaluation of goals to eliminate activities which are o more necessary.
d.Determining training needs and planning them to train staff when required.
e. Making time and activity plans for each type of job, to give clear idea of what is expected of people on their jobs.
1.1.Reasons for time wasting in kitchens and service areas are:
a)Late at work.
b) No production plans in advance
c)Inadequate stock because of delayed ordering or non-availability.
d)Equipment not well maintained or not right for the job.
e) Improperly planned spaces and work centres.
f) Not enough motivation.
g)Personal problem affecting the work.
h)Know how of the job not known.
i) Fear of annoying superiors.
j)Laziness as a personality trait
k) Automatic leadership with excessive supervision and interference in the work.
l)Improper kitchen type
m) More than one boss leading to confusion about what to be done and how.
7. Energy
It is important to distinguish between the fuel sources used I food source ad human effort. Previously these resources were available in plenty and people did not even think of saving coal, oil or wood or gas which was commonly used of cooking purpose. Saving sources of energy is a habit more than something that can be taught. The change of attitude towards conservation is more feasible when the supplies are dwindling. It is a act that people’s awareness regarding energy saving gets enhanced when the prices of fuels being used rise beyond their means when there Is none available in the market.
7.1. Human Energy
A look into areas where human effort be wasted is worthwhile though the work of people cannot be so closely and objectively monitored as that of physical structural arrangement and equipment. A brief resume of the factors which may affect the amount of energy people waste at work will help as a guideline for necessary action in any programme involving its conservation. These factors are:
- Inefficiently planned layouts which involve extra movement while working.
- Uncomfortable working conditions leading to slow movements, and fatigue.
- Improper scheduling of work and time for staff.
- Ill health’s of employees making them feel rundown, and more prone to frequent sickness and accidents.
- Poor supervision leading to wrong methods of working, using up extra effort and time.
- Emergency situation where a lot of energy is wasted in panic, fear and anger.
- Wrong Leadership which creates fear, anxiety and lack of confidence in people at work.
7.2. Fuel Energy
Every institutional kitchen should have at least two types of fuels for food production and service. This is because if one fails due to unforeseen circumstances the other can be used and work can go on without affecting the service.
Liquefied Petroleum Gas
There are two types of fuels commonly used for food production, liquefied petroleum gas (LPG) and electricity. In small sized establishment at least two cylinders are kept, for future use
LPG cylinders are available in three sizes, each suitable for different sized establishments. Vendors who supply freshly cooked or finished products and station themselves on road side’s o market corners use the smallest size containing 2 1\2-3kg LPG.
Electricity
This is an important and useful fuel used for heating equipment such as steamers, ovens, bain-marie, and trolley and other holding equipment, food warmers, automated equipment, dish washers etc. Modern equipment design also has offer equipment geared to use both fuels together, such as electric oven and hot plate in addition to gas burners in the same model.
Traditional Fuels
Different types of traditional fuels are used in rural areas even today like solar energy, coal, wood and fuel balls made of coal dust, hay and cow dung.
Solar Energy and Biogas: Solar equipment including cookers are being market to encourage the increased use of this fuel source in the most sophisticated catering a another in situations to describe solar energy and biogas as fuels the term on-conventional energy sources or alternative source been used cow dung balls and cakes.
Maximizing use of fuel resources requires a golden rule of switching on saving and switching off wastages to be followed to the letter.
Causes for fuel energy wastage in kitchen:
- Keeping ovens, stoves or grill switched on before the usage time.
- Fuel may be wasted is equipment is lighted for full heat irrespective of the size of the container in which the cooking is done.
- When the temperature of cooking is higher than is necessary for a particular food, wastage takes place.
- Improper or no thawing of food prior leads to wastage.
- Methods of cooking involving preparation of food long before the time of service require foods to be held hot for longer periods. Besides affecting food quality fuel bills go up.
- Use of high watts bulbs in areas where lesser light is sufficient.
- Keeping exhaust fans on even after preparation
Once the reasons for the high costs of fuel have been established it is possible to improve the situation and bring down cost to the benefit of both the establishment and the customers. The staffs also help to save time as well as, leading to greater efficiency. It would therefore appropriate to list the possible ways of saving energy in a food establishment. Some suggestions are:
- Invest in equipment designed to switch off fuel supply automatically when cooing is done.
- Use of thermostats to control temperatures so that higher than necessary temperature are not used for cooking, holding or storing food.
- Using the right size of pans for the quantities being prepared, so that fuel is not wasted in heating up larger vessels.
- Arrangement of work centres to avoid extra movements.
- Efforts to recycle heat given off from kitchens for purpose of raising the temperature of washing water would conserve lot of fuel.
- Arrangement of refrigerators away from kitchens would require less electricity to run them efficiently.
Summary
Every catering establishment may find something to add to this list after evaluating their work areas for resource use, because the factors covered are only guidelines from which to proceed. What is important is the awareness of the fact that resources are always limited, as against ants which are unlimited, and therefore the best way to use resources should be discovered for each individual establishment.
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Web links
- www.businessdictionary.com/definition/resource-management.html
- https://www.liquidplanner.com/blog/5-key-principles-resource-management
- www.netsuite.com/portal/products/professional-services…/resource-management.s
- pmtips.net/blog-new/3-types-of-essential-resources-for-your-project
- https://www.bayt.com/en/specialties/q/…/why-is-resource-management-important/
- www.who.int/health_financing/strategy/equity_efficiency/en/
- https://www.ncbi.nlm.nih.gov/pubmed/12229055
- https://www.quora.com/What-are-organizational-resources